You may not think an error on your auto insurance application is a big deal, but the consequences can be costly. Providing inaccurate information when you apply for auto insurance can lead to increased premiums, insufficient coverage or policy cancellations in the event an accident occurs. We pulled together five common mistakes to avoid when applying for auto insurance.
Common Auto Insurance Application Mistakes
Not listing all drivers – Anyone who continuously drives your vehicle, even for a short, recurring period of time, should be listed on your policy.
Giving a false vehicle location – The difference between parking in one zip code and another can significantly affect the coverage you need for your vehicle. Failing to report your car’s actual location can impact the accuracy of your auto insurance quote.
Not reporting driving infractions – It’s best to be upfront about your driving record to avoid conflicts or discrepancies. Your auto insurance company can easily retrieve any driving records to check the accuracy of your application.
Not disclosing business uses – In some scenarios, you may need a specialized policy when driving for business purposes (this includes rideshare companies like Uber or Lyft). Failing to disclose business use can lead to a lack of coverage following an accident.
Failing to update life changes – Seemingly small things like changing addresses or adding another driver to a vehicle are all life changes that need to be updated on your policy. If you don’t report changes, you could overpay for coverage and miss out on available discounts.
Honesty is the Best Policy
Inaccuracies in your auto insurance application can end up costing you more money in the long run. If you think that you may have given inaccurate or incomplete information on your auto insurance application, we can help.